The principle of comparative advantage asserts that a. the world price of a good will prevail in all countries, regardless of whether those countries allow international trade in that good. b. countries can become better off by specializing in what they do best. c. not all countries can benefit from trade with other countries. d. countries can become better off by exporting goods, but they cannot become better off by importing goods.

b. countries can become better off by specializing in what they do best.

Explanation:

Comparative advantage in economics is the ability of an individual or country to produce a specific good or service at a lower opportunity cost better than another individual or country.

The comparative advantage gives a country a stronger sales margin than their competitors as they are able to sell their specific products or render their peculiar services at a lower opportunity cost.

In 1817, David Ricardo who is an english political economist talked about the law of comparative advantage in his book “On the Principles of Political Economy and Taxation."

Also, the principle of comparative advantage asserts that countries can become better off by specializing in what they do best.

This simply means that, any country applying the principle of comparative advantage, would enjoy an increase in output and consequently, a boost in their Gross Domestic Products (GDP).

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